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Uber is in negotiations to resume services in Abu Dhabi, says transport authority.

Uber and its Middle Eastern rival Careem's services were suspended in Abu Dhabi in August 2016 after some drivers were detained for violating certain laws, a source familiar with the situation in Abu Dhabi at the time said.

Uber is in negotiations to resume services in Abu Dhabi, says transport authority.

(Reuters)- Uber is in talks to resume services in Abu Dhabi after a nearly two-year suspension, a transport official said Tuesday.

Uber and its Middle Eastern rival Careem's services were suspended in Abu Dhabi in August 2016 after some drivers were detained for violating certain laws, a source familiar with the situation in Abu Dhabi at the time said.

“We are in negotiations, things are progressing,” Mohamed Darwish al-Qamzi, general manager of the Hire Cars Transport Regulation Center (Transad), told reporters in Abu Dhabi.

He said he was confident that Uber would resume services, but did not say when that might happen.

An Uber source told Reuters that the company was having "positive conversations," but had not yet decided whether to resume services.

The American company launched its services in Abu Dhabi in 2013. It continued to operate in neighboring Dubai.

Careem reported that it resumed services in Abu Dhabi in December 2016.

Careem launched a new, lower-fare option to Abu Dhabi on Tuesday, starting at 19 dirhams ($5,20) per trip, which was 50 percent cheaper than the existing fare there.

The company also reduced its rates for other types of cars by 30 percent.

By Stanley Carvalho